It is difficult because even if you ban racist words, people will still find a way. The old BrainSlug emote is a perfect example of this (for those who don't know, it was the face of a black streamer. He was so sick of people using an image of his face to be racist that the emote was changed to a Futurama-esque actual brain slug).
It's tricky. If someone in chat is spamming ANELE ITS JUST A CLOCK BRO ANELE, it certainly has racial connotations, but is the statement itself racist? I don't know. I don't like it but I'm not sure if I'd be comfortable with someone being banned from chat because of t.